SEARCH FOR BUSINESS OPPORTUNITY,

IDEATION, INNOVATION AND

CREATIVITY
LEARNING OBJECTIVES:
1. DISCUSS ENTREPRENEURIAL ACTIVITIES IN
SEARCH OF BUSINESS OPPORTUNITIES.
2. DESCRIBE THE CONCEPT OF IDEATION,
INNOVATION AND CREATIVITY.
3. DISCUSS THE FACTORS TO CONSIDER IN
EVALUATING THE BUSINESS POTENTIAL OF AN
IDEA.
THE SEARCH FOR BUSINESS OPPORTUNITY

IN DISCOVERING BUSINESS OPPORTUNITIES,

THE FOLLOWING FACTORS ON RESOURCES
HAVE TO BE EVALUATED:
1. MARKET- number of prospective buyers, competitors, the price and
the quality of goods and services that have to be analyzed.
2. INDIVIDUAL INTERESTS
3. CAPITAL
4. SKILLS
5. SUPPLIERS OF INPUTS
6. MANPOWER
7. TECHNOLOGY
OTHER OPPORTUNITY-SEEKING PROCESSES:

1. LOOK AT OTHER SUCCESSFUL

BUSINESSES/ENTREPRENEURS
2. RESPOND TO A PROBLEM AREA
3. HOME-BASED BUSINESS OPTION
4. LINKAGE OF RESOURCES
MARKET RESEARCH
PROFITABLE MARKETS
SALEABLE PRODUCTS
STRENGHTS AND WEAKNESSES OF COMPETITORS
AVAILABLE RESOURCES
BUSINESS RISKS
TRENDS IN CONSUMER TASTES AND PREFERENCES
BETTER MARKETING STRATEGIES
PROPER BUSINESS LOCATION
NEW MARKET OPPORTUNITIES
REALISTIC OBJECTIVES
LOCATION

-POPULATION, INCOME, COMPETITOR,

GOVERNMENT POLICIES, PEACE AND ORDER
- THIS REQUIRES A MARKET SURVEY
SWOT ANALYSIS

- STRENGTH, WEAKNESS, OPPORTUNITY AND THREAT

(PRODUCT/SERVICE)

- THE ENTREPRENEUR MUST BE ABLE TO HAVE AN IDEA OR A

PRECAUTIONARY MEASURE EVEN BEFORE THE START OF THE
BUSINESS
PRODUCT LIFE CYCLE

INTRODUCTION
GROWTH
MATURITY
DECLINE
CHOOSING ON PARTICULAR BUSINESS BY
CATEGORY/SECTOR
1. SERVICE-BASED BUSINESS
- CONSULTANCY, BARBER SHOPS, REPAIR SHOPS, BEAUTY PARLORS, CAREGIVING,
DESIGNING WORKS, RENDERING PROFESSIONAL SERVICES
2. TRADING OR PRODUCT-BASED BUSINESS
- GROCERY STORE, BAKERY PRODUCTS, GENERAL CONSTRUCTION MATERIALS
3. MANUFACTURING BUSINESS
- CREATING HAND-PAINTED TSHIRTS OR CERAMIC VASES, CANDLE MAKING, ETC.
4. LICENSED BUSINESS OPPORTUNITIES
- FRANCHISED BUSINESS
5. DISTRIBUTORSHIP
- OFFER, SELL OR DISTRIBUTE A PARTICULAR PRODUCT BUT IS NOT ENTITLED TO
USE THE MANUFACTURER'S TRADE NAME AS PART OF ITS OWN TRADE NAME.
6. RACK JOBBER
- INVOLVES AN AGENT OR BUYER ENTERING AN AGREEMENT WITH A PARENT
COMPANY TO MARKET ITS GOODS TO VARIOUS STORES BY MEANS OF
STRATEGICALLY LOCATED STORE RACKS.
7. WHOLESALERS
8. SUBCONTRACTING
- INVOLVES SIGNING UP AN ARRANGEMENT WITH A MAJOR PRODUCER TO
COMPLETE A SET OF PRODUCT COMPONENTS ON A PRE-AGREED PRICE.
9. VENDING MACHINE-ROUTES
IDEATION
THE MOST COMMON WAY OF DEVELOPING IDEAS:
RECOGNIZING THE NEED
IMPROVING AN EXISTING PRODUCT
RECOGNIZE THE TRENDS
BE AWARE OF EVERYTHING
QUESTIONS AND ASSUMPTIONS
NAMING IT FIRST, THEN DEVELOP IT
WAYS OF PROTECTING IDEAS
• 1. CONFIDENTIALITY AGREEMENTS- SPECIFICALLY PROVIDES THAT A SIGNER
WILL NOT SHARE THE IDEA TO ANYONE
• 2. PATENTS- THESEGIVES THE INVENTOR EXCLUISVE LEGAL RIGHTS TO EXCLUDE
ANYONE ELSE FROM MANUFACTURING
• 3. TRADEMARKS- A WORD, NME, SYMBOL OR DEVICED USED BY
MANUFACTURERS ON MERCHANTS TO IDENTIFY THEIR GOODS AND
DISTINGUISH THEM FROM OTHERS SOLD IN THE MARKET
• 4. COPYRIGHTS- PROTECTS THE CREATIVE WORKS OF COMPOSERS,
AUTHORS/WRITERS AND OTHERS
ENTREPRENEURIAL CREATIVITY
ENVIRONMENTAL STIMULANTS TO CREATIVITY:
FREEDOM
GOOD PROJECT MANAGEMENT
SUFFICIENT RESOURCES
ENCOURAGEMENT
VARIOUS ORGANIZATIONAL CHARACTERISTICS
RECOGNITION
SUFFICIENT TIME
CHALLENGE
PRESSURE
OUTSIDE ORGANIZATION
BUSINESS PLAN
- a formal written document containing business goals, the methods
on how these goals can be attained, and the time frame within
which goals need to be achieved.
- outlines thefuture activity for an existing or proposed business
venture.
- include details about the products and services, the cost, sales and
expected profits.
- BLUE PRINT
PURPOSE:
1. Alignment of teams
2. Operating plan
3. Communication across company, division, department, business
partners
4. Investment capital
5. Expansion capital
6. Merger/acquisition process
FORMAT OF BUSINESS PLAN:
•TITLE PAGE
- Name of the business
- Owner/owners
Contact details

•EXECUTIVE SUMMARY
- Business ideas and goals (overview of business)
- Marketing (products and services being sold)
- Operations (business location and staff)
- Finances
• BACKGROUND
- Mission statement
- Business goals (short term/long term)

• MARKETING
- Market research
- Market analysis (Competitors/SWOT)
- Marketing plan (target market, distribution channel, pricing)
- Evaluation of marketing